Chief justices from the East African Community have resolved to speed up cases involving trade disputes in order to support the regional process. The judicial bosses from Kenya, Uganda, Tanzania, Rwanda, South Sudan and Zanzibar met in Nairobi last week to draft a framework where judiciaries in the region will cooperate, share experiences and expertise, harmonise jurisprudence and jointly confront challenges to the administration of justice in the region. “The process of regional integration, by its very nature, generates disputes between states, states and citizens and the judiciaries have stepped in to solve these peacefully and amicably,” said Uganda Chief Justice, Bert Katureebe. Whereas trade disputes take long to settle, the EAC summit of the Heads of State has recognised the problem and signed a protocol on extended jurisdiction. This allows the EACJ to receive and decide cases involving trade and investment matters emanating from the implementation of the Customs Union Protocol and the Common Market Protocol. The protocol is at various levels of ratifications in the partner states. “As judiciaries in East Africa, we are making interventions in our court processes that would also improve our countries’ ranking in the Ease of Doing Business Index,” said Kenyan Chief Justice, David Maraga Among the bottlenecks to the administration of justice in the region are limited access to justice; limited resources for expanding courts which limits access to justice; lack of understanding on the workings of courts, which sometimes erodes public faith and confidence. Others are heavy case backlog; poverty in...

One of the agenda discussed by Prime Minister Dr Abiy Ahmed during his state visits to Sudan and Kenya were integration of the countries with railway routes. Indeed the issue of linking coutries of the region with railway line is a vital issue as it plays an all rounded role in socio-economic and political development of the region. Railway transport has a history of more than a century in the Horn of Africa. Among the oldest railway lines of the region is the Ethio-djibouti railway line built during the colonial period. The old age train lines become shifting and expanding currently by the sovereign countries of the horn aiming at mutual economic development based on win-win strategy. Ethiopian Railways Corporation Communication Service Head Dereje Tefera stated that "Railway transport is the back bone of developed countries economy. It is the main source of development for the developed world and it carries their economy even at this time. The newly developed countries are also busy in expanding railway transport nationally and regionally, such as china and Brazil." According to Dereje railway transport is incomparable with other transports for economic development and for regional integration since it carries bulk of freight and passengers with in short period and low price. It is cost effective, cheap and fast. It facilitates people-to-people relations within and beyond borders of nations. It also strengthens both import and export trades nationally and regionally. Even though, it is costly in building, it delivers indispensable service for a long...

The maize deal signed between Kenya and Uganda has yielded no import with grain buyers arguing Kampala has no capacity to supply the agreed quantities. This puts the Ministry of Trade on the spot over the deal signed almost two months ago that would have seen Uganda export 6.6 million bags of maize into the country. It was inked between the National Cereals and Produce Board (NCPB) and the Uganda Grain Council and facilitated by the Ministry of Trade on behalf of Kenyan millers. Kenya was supposed to buy the maize at Sh2,050 per bag to plug a deficit that had triggered a rise in flour prices. Millers have confirmed they have not received any consignment from the land-locked neighbouring country. “I am not aware of any maize having been delivered to NCPB,” said Nick Hutchinson, chairman Cereal Millers Association and Unga Holdings chief executive. Eastern Africa Grain Council (EAGC) said its survey indicated that there was no significant grain to import to Kenya under the government deal. “EAGC assessment in February showed there was not much maize in Uganda to be imported to Kenya and that the little that was there had been committed to other parties,” said Gerald Masila, executive director. Mr Masila added a lot of maize had been sold to traders in February under business-to-business arrangement between Kenyan traders and their Ugandan counterparts. The multibillion-shilling deal would have seen local millers pay Uganda Grain Council for delivery of cargo facilitated by the NCPB. EAGC argued that...

Kenya’s total exports to key markets in Africa shrunk to a five-year low in 2017, new data showed, an indication of growing pain for local producers and the economy. The country’s overall exports to Africa were recorded at Sh223.9 billion last year, marking a successive fall since 2015 and the lowest since 2013, according to the Economic Survey 2018. “The trend in total exports to Africa was consistent with the performance of exports to the Comesa (Common Market for Eastern and Southern Africa) region which declined by 2.2 per cent to Sh166.4 billion in 2017,” the Kenya National Bureau of Statistics (KNBS) said. Improved exports are an indication of more agricultural, factory and industrial output which translates to bigger employment numbers. Further, proceeds from exports represent an inflow of funds, which stimulates consumer spending and contributes to economic growth. Kenya’s total exports to Comesa accounted for 74.3 per cent of exports to Africa. Destinations that recorded reduced earnings from Kenya’s exports within the region included; Egypt (7.8 per cent), the Democratic Republic of Congo (5.8 per cent), Ethiopia (13.3 per cent), Zambia (25.2 per cent), Djibouti (40.9 per cent) and the Comoros (50.4 per cent). “The decline in the value of domestic exports of key commodities to Egypt such as tea; tobacco and tobacco products; and paper and paperboard resulted to the decrease in the value of export earnings from this destination in 2017,” the KNBS said. Kenya also registered a decline in the value of exports to Ethiopia, hit...

The maize deal signed between Kenya and Uganda has yielded no import with grain buyers arguing Kampala has no capacity to supply the agreed quantities. This puts the Ministry of Trade on the spot over the deal signed almost two months ago that would have seen Uganda export 6.6 million bags of maize into the country. It was inked between the National Cereals and Produce Board (NCPB) and the Uganda Grain Council and facilitated by the Ministry of Trade on behalf of Kenyan millers. Kenya was supposed to buy the maize at Sh2,050 per bag to plug a deficit that had triggered a rise in flour prices. Millers have confirmed they have not received any consignment from the land-locked neighbouring country. “I am not aware of any maize having been delivered to NCPB,” said Nick Hutchinson, chairman Cereal Millers Association and Unga Holdings chief executive. Eastern Africa Grain Council (EAGC) said its survey indicated that there was no significant grain to import to Kenya under the government deal. “EAGC assessment in February showed there was not much maize in Uganda to be imported to Kenya and that the little that was there had been committed to other parties,” said Gerald Masila, executive director. Mr Masila added a lot of maize had been sold to traders in February under business-to-business arrangement between Kenyan traders and their Ugandan counterparts. The multibillion-shilling deal would have seen local millers pay Uganda Grain Council for delivery of cargo facilitated by the NCPB. EAGC argued that...

May 10, 2018: Bolloré Logistics Industrial Projects team in Kenya was recently tasked to provide customs clearance and Out of Gauge transportation for a massive piece of mining equipment. The equipment, 17-metre-long and 6-metre-wide, was transported from port of Mombasa to Base Titanium Limited’s mining site in Kwale. The distance was approximately 53 kilometres. The Projects Team conducted a survey and formulated a Local Execution Plan for client approval, which proposed a barge operation involving crossing the Mombasa Island through Kilindini Harbour to Likoni, at the southern end of the island from where the cargo would be transported by road. A team of 20 Bolloré Logistics staff were involved in the actual operation. The equipment was discharged directly from the vessel and onto a Heavy-Duty Modular trailer already positioned on the barge. “Due to the weight of the cargo, the barge was staged for 48 hours awaiting high tide to enable the unloading of cargo. A dedicated ferry from the Kenya Ferry Services was used to tow the barge across the harbour to the Likoni side of the ferry. This operation took place from midnight into the early hours of the morning, with the positioning of the barge and offloading at the other side of the harbour, taking five hours due to tidal and ramp positions,” the transport and logistics company mentioned through a statement on its website. After the Ferry Crossing, the cargo was transported by road, with both police escort and an escort from the electricity supplier, Kenya...

Tea traders risk losing millions of shillings in a logistics crisis arising from the shipping lines’ rejection of their consignments in the wake of a persistent slowdown in the loading of vessels at the Mombasa port over the past two weeks. The stalemate, which has so far affected 151 export containers carrying tea valued at $9.4 million (Sh940 million), is the latest in a chain of operational inefficiencies that are affecting business at the port. East African Tea Traders Association (Eatta) said major shipping lines, such as Maersk that tea traders use to move exports destined for Pakistan, have rejected the bookings citing inefficiencies in the loading export cargo. Pakistan is the top buyer of Kenyan tea. Eatta says the delays are the result of heavy congestion at the port that has seen import cargo fill up container stacking areas to capacity leaving no room for the stacking of export containers in readiness for loading on the vessels. “The major shipping lines have curtailed tea export bookings by more than 50 per cent and this is coming at a time when the Mombasa Tea Auction is selling very high volumes of tea,” said Edward Mudibo, the Eatta managing director. The Business Daily could not reach the port’s managing director, Catherine Mturi-Wairi, as she did not respond to phone calls nor reply text messages. Eatta, which manages the auction, warned that failure to ship the tea promptly could lead to a major crisis as the tea buyers will run out of...

On November 30, 2013, the heads of the East African Community (EAC) member states signed the Monetary Union (EAMU) Protocol in Kampala. This is the third pillar of the EAC integration. According to Article 5 of the Treaty establishing the EAC, the integration is anchored on four major pillars: customs union, common market, monetary union, and political federation. The Customs Union Protocol was signed in 2004, and came into effect on July 1, 2005. The Common Market Protocol came into effect on July 1, 2010 having been signed on November 30, 2009. Following the signing of the EAMU protocol, we have been inundated with questions from stakeholders about its implications and when the EAC shall fully realize its provisions. To begin with, a monetary union is a group of two or more states sharing a common currency and with common fiscal and monetary policies. An example of a monetary union is the European Union where several countries use the Euro and monetary policies are conducted by the European Central Bank. A monetary union can have different currencies, but with a fixed mutual exchange rate monitored and controlled by one central bank (or several central banks with closely coordinated monetary policies). In the African context, we have examples of other regional economic communities in advanced stages of implementing monetary unions as part of their broader integration agenda. One example is the West African Economic and Monetary Union (UEMOA) - comprising Benin, Burkina Faso, Cote d'Ivoire, Guinea-Bissau, Mali, Niger, Senegal and Togo...

Kenya is reaching out to Djibouti in a bid to benefit from the Horn of Africa nation's strategic location for security and trade links. On Wednesday, President Uhuru Kenyatta and Djibouti leader Ismail Guelleh signed a number of agreements, mainly centred on boosting trade, but also influenced by security concerns. It is the second attempt by Kenya to woo Djibouti, a country which has traditionally not featured on Kenya's trade links map. President Kenyatta in January held a meeting with Mr Guelleh when the two met during the African Union Summit in Addis Ababa. At the time, they spoke of their readiness to improve trade and security ties. The meeting in Nairobi was influenced by security concerns by both countries. TERRORISTS They both contribute troops to the African Union Mission in Somalia (Amisom) and have been targeted by Al-Shabaab terrorists. It came just two days after new Ethiopian Prime Minister Abiy Ahmed also visited Nairobi on a similar mission. "We have talked about how to strengthen our cooperation and secure our nations. Both our nations are in a very troubled region and we talked about how to ensure the safety and prosperity of our people," said President Kenyatta. President Guelleh said: "We are in a troubled region, where we are confronted by extremism and violence. That is why our militaries are in Somalia to help it regain stability because what happens in Somalia has an immediate impact on all of us." The leaders supported for Somalia's bid for stability in...

Nairobi, 9 May 2018 – East African nations can harness their trade policies to help empower women economically in the region, thanks to improvements in education, employment and other key areas, according to new research released by the United Nations and funded by The Netherlands through TradeMark Africa. In a report entitled East African Community Regional Integration: Trade and Gender Implications, the United Nations Conference on Trade and Development (UNCTAD) analyses the impact of East African Community (EAC) regional integration on women's well-being in five of the six EAC countries. UNCTAD also released an advocacy document entitled Advocating for gender-sensitive trade policymaking in the East African Community, which makes concrete recommendations to better guide trade policies to the benefit of women across the bloc, based on the findings of the report. Embedded with specific objectives and monitoring indicators, UNCTAD’s recommendations target eight areas: besides education and employment, they look at access to resources, the unpaid care and domestic work burden, and decision-making, together with gender policy at the national and regional level, and gender mainstreaming in trade policy. “This new analysis is another UNCTAD contribution to the debate on how we, together, can make trade policy more gender-sensitive, and pave the way for more inclusive prosperity that leaves no one behind,” said UNCTAD Secretary-General Mukhisa Kituyi. Trademark East Africa Chief Executive Officer, Frank Matsaert, said: “We will continue facilitating women’s empowerment through support of delivery of practical solutions to challenges that affect women entrepreneurs who trade across borders in East...